VRE - View Resources

[kgee]

I wouldn't be surprised to see some sort of commentary from Fat prophets to calm the mkt re View

Just like they did with BMO ? ( 2 days before the creditors came in) and Perseverance PSV ?
Have they had any success with Gold miners I know they"ve been saying Gold would hit $1000 for a couple of years but other than that I can't recall too many successes

 

[porkpie324]

Hooray somebody else is looking outside the square, and yep I've written them off until there's some concrete evidence of production, and yep Fat Prophets will probably make an announcement just to flick off their holding as they did with BMO.porkpie

 

[wildmanchris]

In all fairness they called Mundo at about 25 cents or something - currently 85 and look good for production in March.

 

[happytown]

major vre ann out,

voluntary administration by resolution of the board,

looking at restructuring options and financial position of the co and its subsidiaries

securities placed in suspension

cheers

 

[YOUNG_TRADER]

How the **** is this possible?

The company closed out its hedge books and once it got the $25m from MCR for Carnilya would have had no debts and net $8.5m cash as per all the company presentations

If the directors have lied they should go to jail,

Either way these scumbags should go to jail!

I can't believe how they can go from being so positive, we've turned a corner to this,

 

[rico01]

Well there has been no announcement that THE 'Carnilya hill' deal is not going through, so they still should be going to recive $22 million soon or have they forgotten to tell us something

 

[porkpie324]

And who was that said that VRE is strongly tipped by brokers, yeh right just as long as takes to flick their holdings and the directors. porkpie

 

[Bushman]

Look it is not great news but remember the notice said 'voluntary administration', not liquidation.

Having said that, how the directors went from hunky dory in December quarter to not meeting 30k oz to voluntary administration? Something reeks here.

Good luck to the holders.

 

[Macronomics]

Thats right...but seriously - WHAT THE F*&$ happened...
this seems like a clear case of Deception to the market!

I'm a shareholder and regardless of the problems VRE was having, We have received no indication as what has led to this situation!
Its like Sons on Gwalia... One day Hunky dory and the other day Doom and Gloom.

The directors better have a great reason!
I hope I getback atleast a or three


:

 

[rico01]

In MCR's latest report they say they have cash and receivables of $150.46 million creditors and accruals of $64.27 million to give a net working capital of$ 86.19 million, so there's no reason to think the Carnilya Hill deal won't go through.

We just have to be patient I Hope

 

[JTLP]

LOL do you guys understand Voluntary Administration?

It's designed so that VRE can re-coup and get themselves back to a cash ready position. If this fails, then they will look to recoup losses to shareholders and creditors.

I dont hold but just wanted to ease some pain...it's not over yet.

Maybe this voluntary admin came through due to the fact that they had no received the money from the Carnilya Hill sale?

Im hoping for the holders sake that they inform them that this is what has happened...a delayed settlement then back on with business...

JTLP

 

[MS+Tradesim]

JTLP,

That's what I'm thinking. They had to do something with their finances by the end of this month. Maybe the CH settlement was going to take longer and with lower cashflow from Au they were facing a temporary finance problem.

Well, we'll see soon.

 

[prawn_86]

Hopefully for the holders sake they do get back on track, and it doesnt take too long. I can remember other situations like this where it dragged out for months

 

[mick2006]

I can see a few directors ending up in jail over this mess, its plain obvious that they have broken ASX disclosure rules.

I wouldn't worry longer term about getting your funds back, with the Carnilya Hill sale and the value of the plant and surrounding exploration tennements, I'm sure their will be a bidding war for the processing plant.

You have to wonder about Fat Prophets and a few of the brokerage houses that were still plugging the company even this week, looks like even they were kept out of the loop.

 

[mr_fred]

I can't F$cking believe it!

That quarterly was as peachy as scarlet yohansens butt, and within a week, we go into administration. Where is the integrity? Why didn't they trading halt the stock right after the update? Wheres ASIC, this is unbelievable. Send those bastards to jail.

Was holding $30,000 worth.

Fred

 

[jaffa]

MS+Tradesim

I reckon you have hit the nail on the head. They have a short term liquidity problem - a little credit crises!!!!

Nonetheless, if I was a director I would be very nervous given the gap between the most recent market update and this shambles. If the voluntary administration does not get them out of the woods they will have some explaining to do.

Jaffa

 

[MS+Tradesim]

I think their disclosure is shocking too. The quarterly was released late January. They knew there were production issues then. They should have been upfront straight off the bat.

I'm not worried about my money but management have big explaining to do.

 

[moneymajix]

From HC forum, from Fat Prophets


Mid-Week Alert - View Resources (VRE)
View Resources has announced today that it has voluntarily appointed administrators to the company, being Darren Weaver and Andrew Saker of firm Ferrier Hodgson.

We spoke with the administrators this afternoon but at this stage they are making no official comment. They did say that they are working with View's management and board on refinancing options for the company and hope to make an announcement within the next few days.

All of this follows our most recent coverage of the company in this week's Mining report where we highlighted the company's disappointing January production month at its Bronzewing gold mine in Western Australia.

Today's news is both disappointing and concerning from Fat Prophets' perspective.

The basis of our most recent analysis was the company's December 2007 quarter production report that was released just 14 days ago (on January 25). In it, the View board commented that operationally things had improved significantly during the December quarter, primarily due to strong production during the month of December.

With respect to our company outlook, we reiterated the caveat that the company had to demonstrate SUSTAINED improvement with respect to its Bronzewing operations in order to regain market credibility, but that the company seemed well on track to achieving this.

View commented on January 25 in its quarterly report that gold production during the month of January would fall below its 10,000 ounce target, but that was not of major concern as overall March quarter production would still be in line with forecasts (i.e. 30,000 ounces for the quarter).

Yet just 12 days later on Wednesday of this week (February 6), View announced that gold production had in fact fallen SUBSTANTIALLY below par (6,500 ounces instead of the budgeted 10,000 ounces) for the month of January.

We assume that on the date of the December quarterly's release (January 25, less than a week before the month's end) that View must have had some idea of the looming production shortfall for the month of January, but instead gave no indication.

This is most concerning to us, as we can only base our analysis for Members on the quality and accuracy of the information provided by the company, not only to us but the market as a whole.

We will await developments and report them as they happen, but to say that we are disappointed at this stage is to put things mildly. In reality, we are incensed with proceedings as they have transpired.

We await further comment from the company and administrators with great interest.

 

[Miner]

From HC forum, from Fat Prophets


Mid-Week Alert - View Resources (VRE)
View Resources has announced today that it has voluntarily appointed administrators to the company, being Darren Weaver and Andrew Saker of firm Ferrier Hodgson.

We spoke with the administrators this afternoon but at this stage they are making no official comment. They did say that they are working with View's management and board on refinancing options for the company and hope to make an announcement within the next few days.

All of this follows our most recent coverage of the company in this week's Mining report where we highlighted the company's disappointing January production month at its Bronzewing gold mine in Western Australia.

Today's news is both disappointing and concerning from Fat Prophets' perspective.

The basis of our most recent analysis was the company's December 2007 quarter production report that was released just 14 days ago (on January 25). In it, the View board commented that operationally things had improved significantly during the December quarter, primarily due to strong production during the month of December.

With respect to our company outlook, we reiterated the caveat that the company had to demonstrate SUSTAINED improvement with respect to its Bronzewing operations in order to regain market credibility, but that the company seemed well on track to achieving this.

View commented on January 25 in its quarterly report that gold production during the month of January would fall below its 10,000 ounce target, but that was not of major concern as overall March quarter production would still be in line with forecasts (i.e. 30,000 ounces for the quarter).

Yet just 12 days later on Wednesday of this week (February 6), View announced that gold production had in fact fallen SUBSTANTIALLY below par (6,500 ounces instead of the budgeted 10,000 ounces) for the month of January.

We assume that on the date of the December quarterly's release (January 25, less than a week before the month's end) that View must have had some idea of the looming production shortfall for the month of January, but instead gave no indication.

This is most concerning to us, as we can only base our analysis for Members on the quality and accuracy of the information provided by the company, not only to us but the market as a whole.

We will await developments and report them as they happen, but to say that we are disappointed at this stage is to put things mildly. In reality, we are incensed with proceedings as they have transpired.

We await further comment from the company and administrators with great interest.

Thanks Money Magix for publishing this FP report.
FP just proved how useless their forecasting and always covered by hypes of good results and never disclose the failures. But that is my opinion as many of us have taken advantage of their punted prediction and are must be happy chappy.

 

[Bushman]

We assume that on the date of the December quarterly's release (January 25, less than a week before the month's end) that View must have had some idea of the looming production shortfall for the month of January, but instead gave no indication.

Serious allegation being made by FP. Something that will be tested in court at some stage if it all goes pear shaped.

They are right they - they must have known they would fall short on the 25 January unless they were expecting to recover 5k oz plus in the last 6 days of January. Very, very odd....

Anyway I too think it is a 'mini credit crunch' as both VRE and MCR have repeatedly noted 'conditions' on the Carnilya sale. So I am assuming a 'condition' has been breached, either throwing the $22.5m sale in doubt or delaying settlement until these 'conditions' are met. So no $22.5m means no repayment of $14m debt to bankers means short term insolvency.

CEO's head will roll for this...